Last year, Facebook recorded $327 million in digital advertising revenue in Australia, and Google reported $882 million. Many industry experts believe most of this revenue came from aggregating local news content and swaying advertisers away from media organisations through cheaper rates. Google and Facebook have not clarified the source of their revenue because Australian corporate reporting standards do not require them to. This is a problem — a black hole in the local digital laws. The fact that Google and Facebook can surreptitiously make millions from local news content and avoid paying any royalty to the source is appalling. Local news media is already struggling. Like a parasite living off its host, these two corporate behemoths continue to breathe down their necks and make money off them. As a member of the local media and journalism community, I demand that our Federal Government do more. Their counterparts in India have imposed a 6 per cent equalisation levy on Google and Facebook’s advertising revenue. In the EU, plans are underway to impose a 3 per cent levy which will bring in €5 billion a year.

Source: A fair go for local news media